Search Minerals Amends Patent Purchase of Starved Acid Leaching Technology

Search Minerals Inc. (TSXV:SMY) announced that it has amended its Patent Purchase Agreement with InCor Technologies Limited dated November 13, 2013, on the acquisition of Starved Acid Leaching Technology. The SALT process is designed to extract nickel from below cut-off grade nickel saprolite ores. According to Search Minerals President Greg Andrews, this infuses funds into the Company for its rare earth assets in Labrador.
As quoted in the press release:

The amendment will have InCor provide Search with a payment of CDN$650,000 which will fully satisfy and discharge InCor from any further obligation under the Agreement. The payment schedule will consist of $ 250,000 at closing, $200,000 on December 31, 2015 and $ 200,000 on February 28, 2016.
Concurrent with this transaction, InCor’s parent company, InCor Holdings PLC (“InCor Holdings”), will subscribe for 5,000,000 units of the Company at a price of CDN$0.07 per unit (the “InCor Financing”), each unit to consist of one common share of Search (a “Search Share”) and one common share purchase warrant of Search, each such warrant exercisable to purchase one Search Share at a price of CDN$0.10 for a period of two years following the closing date of the InCor Financing (the “Closing Date”). These funds will be used for general working capital purposes.

Search Minerals President, Greg Andrews, said:

“We are delighted to be able to continue to finance the Company’s Critical Rare Earth Element assets in Labrador with this substantial infusion of funds into Search Minerals with minimal dilution to existing shareholders. The negotiated $ 650,000 early settlement will replace uncertain and conditional future payments against the existing promissory note of $ 2,000,000.”